With more Malaysians installing electric vehicle chargers at home, one question has started gaining attention: What happens if something goes wrong and a fire damages your house?
Following a recent fire involving an EV at a house in Cheras, the General Insurance Association of Malaysia (PIAM) has stepped in to clarify how home insurance generally works in such situations.
According to PIAM, the good news is that an EV-related fire is not automatically excluded from home insurance coverage.
Standard home insurance may cover the fire damage
PIAM chief executive officer Chua Kim Soon said standard Houseowner and Fire insurance policies in Malaysia generally cover specified risks such as fire, regardless of where the fire started.
However, any payout would still be subject to the individual policy’s terms, conditions and exclusions.
Coverage could also be affected if authorities discover issues such as fraud, deliberate acts or breaches of policy conditions.
In other words, having an EV or home charging unit involved in a fire does not by itself mean an insurer will reject the claim.
What about the EV charger itself?
PIAM said a permanently installed or hard wired home EV charger may be classified as a fixture or fitting under the building portion of a home insurance policy.
Portable chargers and charging cables, on the other hand, would typically fall under specialised EV motor insurance coverage or additional protection offered by insurers.
This means EV owners should check both their home and motor insurance policies instead of assuming everything related to their EV is covered under one policy.
Tell your insurer if you install a charger
PIAM strongly advised homeowners to notify their insurer when installing a permanent EV charger.
This is because adding a charger and making electrical upgrades can change the rebuilding value and risk profile of a property.
Declaring the installation also helps ensure that the home’s Sum Insured reflects its updated rebuilding cost, particularly after new fixtures or electrical modifications are added.
Homeowners who fail to update the insured value of their property could risk being underinsured if extensive damage occurs.
Proper installation matters too
Another important factor is how the charger was installed.
PIAM said insurers expect homeowners to take reasonable safety precautions and comply with electrical safety requirements.
During a claim, insurers may refer to official investigation reports from agencies such as the Fire and Rescue Department to determine what actually caused the incident.
Illegal or uncertified electrical modifications could become an issue during this process.
Tenaga Nasional Berhad (TNB) similarly advises homeowners to appoint a licensed wireman or electrical contractor registered with the Energy Commission before installing a home EV charger.
TNB also states that an EV home charger should have its own dedicated circuit connected to the home’s distribution board.
What if the fire spreads to your neighbour’s house?
For those living in terrace houses or high-rise buildings, PIAM also urged homeowners to look at their third-party liability coverage.
Standard Houseowner policies generally provide around RM50,000 in public liability coverage, according to PIAM.
However, homeowners can purchase additional extensions if they feel the existing limit is insufficient, particularly if a fire could spread to neighbouring properties.
Clarification follows Cheras house fire
The clarification comes after a two-storey terrace house in Alam Damai, Cheras was destroyed in a fire on Aug 16.
The Kuala Lumpur Fire and Rescue Department received an emergency call at around 5.03 am, with 22 firefighters deployed to the scene.
The house was reportedly completely damaged, although no injuries were recorded.
While early reports said an EV was being charged at the front of the house when the fire occurred, Bomba has stressed that the exact cause has yet to be determined.
Fire and Rescue Department director general Datuk Seri Nor Hisham Mohammad said investigators are looking into several possibilities, including whether the fire started from the vehicle itself, the charger, the charging station or the wiring connecting the system.
Following the incident, Bomba has also proposed introducing clearer safety guidelines for EV charging at private homes as EV ownership continues to grow in Malaysia.
So for EV owners, the takeaway is fairly straightforward: having home insurance may protect you against fire damage, but make sure your charger is professionally installed, inform your insurer about it and check whether both your home and EV related equipment are adequately covered.
